Section 171 of the CGST Act, 2017— Anti- Profiteering – The DGAP submitted its report and concluded that the benefit of additional ITC of 3.86% of the total amount demanded by the Respondent from the home buyers who made bookings on or before 30.09.2019, has accrued to the Respondent and the same was required to be passed on to them. The Respondent was required to pass on the benefit of ITC to the tune of Rs. 7,90,97,474/-. However, he had actually passed on an amount of Rs. 8,28,91,520/-. Therefore, the allegation that the Respondent has contravened the provision of Section 171  did not appear to be sustainable, and no additional profiteered amount was required to be returned. The authority observed that the Respondent’s claim of having passed on the benefit to his recipients/homebuyers requires to be verified against third party evidence in the form of written acknowledgements receipts from the homebuyers.

Held that:- The Hon’ble Anti-Profiteering Authority sent back the matter to the DGAP for further investigation as per the provisions Section 171(2) read with Rule 133(4) and directed the DGAP to verify the evidence submitted by the Respondent to evidence the passage of ITC benefit from the Respondent to the homebuyers and submit his Report.